The question I have is that at some point X taxes are collected and the economy is growing at Y, then the policies change and now X-5 taxes are collected and the economy grows at Y. What was the function of the 5 under the first regime?

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alex43578 9 hours ago | parent | next [-]

Slowing the growth of the country’s debt. Some would argue this gives flexibility to expand that debt during crises like wars, economic events, or pandemics; by “keeping powder dry” in terms of debt to GDP.

	▲	wang_li 9 hours ago \| parent [-]
		Are you thinking specifically of the US or you thinking of all the countries that were part of the data they reviewed? Also, how does leaving the wealth in the hands of citizens prevent it from being taxed in the future if needs be?

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rahimnathwani 9 hours ago | parent | prev [-]

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